Vestis Corporation (VSTS)
Quick ratio
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 31,010 | 36,051 | 23,736 | 41,106 | — |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 177,271 | — | — | — | — |
| Total current liabilities | US$ in thousands | 456,102 | 395,525 | 402,195 | 383,322 | — |
| Quick ratio | 0.46 | 0.09 | 0.06 | 0.11 | — |
September 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($31,010K
+ $—K
+ $177,271K)
÷ $456,102K
= 0.46
The quick ratio of Vestis Corporation has shown a significant improvement from 0.09 in 2023 to 0.46 in 2024. This indicates that the company's ability to meet its short-term obligations with its most liquid assets has strengthened. However, the quick ratio still remains relatively low, suggesting that the company may potentially face challenges in meeting its immediate financial obligations. It is important for Vestis Corporation to continue monitoring and managing its liquidity position to ensure financial stability and mitigate liquidity risks in the future.
Peer comparison
Sep 30, 2024